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Commercial Licensing Guide

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Table of contents

Chapter 1: Introduction to Microsoft Commercial Licensing ...............................................................................................4 How to use this guide............................................................................................................................................................4 Keys to understanding Microsoft Commercial Licensing .................................................................................................4 Programs for the type and size of an organization............................................................................................................5 Programs for public sector and other organizations.........................................................................................................6 Licensing on-premises software...........................................................................................................................................6 Licensing Microsoft cloud services ......................................................................................................................................7 Microsoft Financing ...............................................................................................................................................................7

Chapter 2: Choosing a Commercial Licensing program for commercial organizations ...................................................8 Microsoft Open Programs.....................................................................................................................................................8 Microsoft Open programs: three options ...........................................................................................................................9 Microsoft Enterprise Agreement ........................................................................................................................................10 Microsoft Products and Services Agreement ...................................................................................................................17 Microsoft Select Plus agreement........................................................................................................................................19 Price-Level Adjustment........................................................................................................................................................20 Price Level for Government Organizations .......................................................................................................................21 Price Level for Academic Organizations............................................................................................................................21 Comparing Commercial Licensing programs ...................................................................................................................22 Taking the next step ............................................................................................................................................................22

Chapter 3: Choosing a Commercial Licensing program for a government organization ..............................................22 Worldwide government licensing ......................................................................................................................................22 United States government licensing..................................................................................................................................22 Home Use Program for government employees .............................................................................................................23 Choosing the right option...................................................................................................................................................24 Comparing Commercial Licensing programs for government .......................................................................................25 Taking the next step ............................................................................................................................................................25 More resources.....................................................................................................................................................................25

Chapter 4: Choosing a Commercial Licensing program for a nonprofit organization ...................................................26 Transactional licensing ........................................................................................................................................................26

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How to acquire nonprofit discounts ..................................................................................................................................26 More resources.....................................................................................................................................................................27 Chapter 5: Choosing a licensing agreement for a school or university ............................................................................27 Transactional licensing ........................................................................................................................................................27 Subscription licensing..........................................................................................................................................................28 How to acquire academic discounts..................................................................................................................................30 Work at Home ......................................................................................................................................................................30 Microsoft Imagine ................................................................................................................................................................30 Student licensing..................................................................................................................................................................31 Taking the next step ............................................................................................................................................................31 Chapter 6: Microsoft Commercial Licensing programs for software and service partners ............................................31 Cloud Solution Provider ......................................................................................................................................................32 Independent Software Vendor Royalty Licensing Program............................................................................................32 Services Provider License Agreement................................................................................................................................33 Chapter 7: Using products licensed through a Microsoft Commercial Licensing program ...........................................35 Product licensing models....................................................................................................................................................35 Resources and tools.............................................................................................................................................................48 Managing licenses................................................................................................................................................................49 Chapter 8: Microsoft Software Assurance.............................................................................................................................51 Software Assurance benefit eligibility ...............................................................................................................................51 Available benefits .................................................................................................................................................................51 Acquiring Software Assurance............................................................................................................................................53 Taking the next step ............................................................................................................................................................53

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Microsoft Commercial Licensing Guide

Chapter 1: Introduction to Microsoft Commercial Licensing

Acquiring software licenses through Microsoft Commercial Licensing is different than acquiring retail boxed software licenses. A retail software license is usually sold in a box and contains media (CD-ROM or DVD format), a user's guide, access to product support, and Microsoft Software License Terms. The Software License Terms dictate how the software can and cannot be used. Software acquired through Microsoft Commercial Licensing is a software license only that gives the right to run a Microsoft software product. Organizations can save above retail boxed software prices when they participate in a Microsoft Commercial Licensing program. By acquiring software licenses through Volume Licensing, organizations pay for only the software license and not for additional materials. Microsoft Commercial Licensing also offers Software Assurance, a single, cost-effective program that includes unique technologies, services, and use rights to help customers deploy, manage and use Microsoft software and services more efficiently. Software Assurance is only available through Volume Licensing, and is included with some Volume Licensing agreements and is an optional purchase with others. When acquiring software through a Microsoft Commercial Licensing agreement, there's a choice to acquire primary or supplemental media, documentation, and product support separately by download or physical media.

How to use this guide

This guide is an overview of the key features of Microsoft Commercial Licensing programs. The information is presented by organizational type and size, two of the most important keys to determining the best Commercial Licensing option. The key chapters by organizational type are the following: Commercial business organization. Government organization. Academic organization. Nonprofit organization. Software and service partners. Each chapter also contains information about the additional benefits and resources that are available with each agreement, such as software asset tracking tools, maintenance programs, and online management services. At the end of each chapter, there's a quick feature comparison chart and an online selection tool. In addition, separate chapters provide overviews of the following two key areas that apply to most Commercial Licensing agreements in varying ways: Product Terms (which replaced the Product List and Product Use Rights documents). This provides information

about product availability across Commercial Licensing programs. It describes conditions on license acquisition in addition to product-specific terms, and conditions governing how Microsoft products can be used in the Commercial Licensing programs. Software Assurance, which helps customers enhance licensing value and improve business agility by providing a unique set of technologies, services, and product use rights in one cost-effective program.

Keys to understanding Microsoft Commercial Licensing

The following are a few key organizational characteristics to help understand Microsoft Commercial Licensing policies and agreements and help choose the best option for an organization:

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Microsoft Commercial Licensing Guide

The size and type of an organization.

The products that an organization wants to license.

The way in which an organization wants to use those products.

Programs for the type and size of an organization

At the most basic level, the Microsoft Commercial Licensing agreement models address organizations in the following main categories:

Organizations with 500 or more users or devices.

Organizations with 250 or more users or devices.

Organizations with more than five but fewer than 250 users or devices.

For organizations with 500 or more users or devices, Microsoft offers the following options:

Microsoft Enterprise Agreement* offers the best value to large commercial and government organizations and provides the flexibility to buy cloud services and software licenses under one agreement in response to the changing technology landscape. The Enterprise Agreement offers a subscription option, which lowers initial licensing costs based on subscribing to the rights to use Microsoft products and services instead of owning them. The subscription option allows for an increase or decrease of subscription counts annually. With the subscription option, an organization can access Microsoft software for the duration of their subscription.

*500 minimum user/device requirement is for commercial customers effective July 1, 2016. This does not apply to the Server and Cloud Enrollment. The minimum requirement for public sector customers is 250 users/devices. For more information, please see the Enterprise Agreement program guide.

For organizations with 250 or more users or devices, Microsoft offers the following options:

Enrollment for Education Solutions (EES) provides qualified academic customers of all sizes a way to acquire Microsoft software and services under a single subscription agreement. The EES provides coverage for Desktop Platform Products through one annual count of employees, the ability to add additional products as needed, student licensing options, and the benefits of Microsoft Software Assurance.

Microsoft Products and Services Agreement (MPSA) is available for midsize and large commercial and government organizations that require 250 or more licenses for online services, software, and Software Assurance (optional), and do not want an Enterprise Agreement. It's also for organizations looking to make as-needed purchases.

Microsoft Select Plus is for midsize and large government and academic organizations with 250 or more users or devices with multiple affiliates that want to license software and services at any business unit level, while still getting the price saving advantages of being a single organization. Select Plus for commercial organizations is no longer available to new customers.

For organizations with fewer than 250 users or devices, the Microsoft Open agreements provide volume discounts for a minimal up-front cost and are widely available. Open agreements provide the following three purchasing license options for commercial businesses and public sector organizations:

Open License is for commercial, government, and education customers who want a minimum initial purchase of only five software licenses. This program is ideal if an organization prefers to pay as they consume services or use licenses, and to change their licensing agreement as the organization grows. Qualifying for volume purchasing also occurs under the volume feature of Open License. Open volume purchasing is for customers who can meet minimum purchase levels based on a system of product pools and points. With an entry minimum of 500 points from a single product pool, this program offers deeper discounts for a greater savings.

Open Value Subscription is for commercial customers who want to subscribe to, rather than acquire, Microsoft product licenses. Available in select countries or regions, Microsoft Open Value Subscription provides the lowest

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